LBA Realty Pays $387 a SF for New Warehouse in California’s Inland Empire
By Greg Cornfield July 28, 2023 10:47 am
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The deals keep coming in a Southern California industrial market that remains the hottest niche in an otherwise cooling national one.
Orange County-based LBA Realty acquired Newcastle Slover Logistics in the Inland Empire, according to data provided by Vizzda. Newcastle Partners sold the 95,600-square-foot space that was completed earlier this year for $37 million, or $387 per square foot.
The property was built over 4.6 acres this year at 16355 Slover Avenue at the intersection with Cypress Avenue in Fontana, Calif. It’s near other warehouses used by Amazon, Walmart and UPS. Information regarding occupancy at the building or asking rents was not immediately available.
In the first half of 2023, industrial sales across the U.S. amounted to $21.2 billion, a significant decline from the $55 billion recorded during the same period in 2022, according to a report released Thursday by Commercial Edge. But the Inland Empire maintains its spot at the top after closing the highest sales volume in the nation at $2.44 billion in the first six months of the year. Transactions averaged $259 per square foot in the region, well above the national average price of $129 per square foot.
Southern California also continues to see the largest rent gains in the nation, with in-place rents jumping highest in the Inland Empire at 17.4 percent over the last 12 months.
Gregory Cornfield can be reached at gcornfield@commercialobserver.com.
